Traders Buy Large Volume of Clearwater Analytics Call Options (NYSE:CWAN)

Clearwater Analytics Holdings, Inc. (NYSE:CWAN) saw some unusual options trading on Tuesday. Stock traders acquired 65,449 call options on the stock. This represents an increase of approximately 736% compared to the typical daily volume of 7,830 call options.

Clearwater Analytics Stock Performance

CWAN stock opened at $24.32 on Thursday. The firm has a 50-day simple moving average of $22.61 and a two-hundred day simple moving average of $20.58. The company has a debt-to-equity ratio of 0.42, a quick ratio of 1.97 and a current ratio of 1.97. Clearwater Analytics has a one year low of $15.73 and a one year high of $32.00. The firm has a market cap of $7.12 billion, a price-to-earnings ratio of 15.89, a PEG ratio of 3.52 and a beta of 0.66.

Clearwater Analytics (NYSE:CWAN) last posted its earnings results on Wednesday, November 5th. The company reported $0.14 EPS for the quarter, missing analysts’ consensus estimates of $0.16 by ($0.02). Clearwater Analytics had a net margin of 61.28% and a return on equity of 2.77%. The firm had revenue of $205.11 million for the quarter, compared to analysts’ expectations of $203.66 million. During the same period in the previous year, the company earned $0.14 EPS. The company’s revenue was up 77.1% on a year-over-year basis. On average, equities analysts forecast that Clearwater Analytics will post 0.18 EPS for the current fiscal year.

Analyst Upgrades and Downgrades

Several research firms have recently weighed in on CWAN. Wall Street Zen downgraded shares of Clearwater Analytics from a “hold” rating to a “sell” rating in a research note on Saturday, November 22nd. William Blair reaffirmed a “market perform” rating on shares of Clearwater Analytics in a research report on Monday, December 22nd. Morgan Stanley reiterated an “overweight” rating and issued a $27.00 target price on shares of Clearwater Analytics in a report on Monday, November 24th. JPMorgan Chase & Co. cut their price target on Clearwater Analytics from $28.00 to $26.00 and set an “overweight” rating on the stock in a research note on Thursday, November 6th. Finally, Oppenheimer lowered shares of Clearwater Analytics from an “outperform” rating to a “market perform” rating in a research note on Monday, December 22nd. Six analysts have rated the stock with a Buy rating and eight have assigned a Hold rating to the company. According to data from MarketBeat, the company currently has a consensus rating of “Hold” and a consensus price target of $27.93.

Insider Buying and Selling

In other news, CEO Sandeep Sahai sold 134,130 shares of the stock in a transaction on Thursday, January 1st. The shares were sold at an average price of $24.09, for a total value of $3,231,191.70. Following the sale, the chief executive officer owned 1,092,923 shares of the company’s stock, valued at approximately $26,328,515.07. This represents a 10.93% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CRO Scott Stanley Erickson sold 44,386 shares of Clearwater Analytics stock in a transaction dated Thursday, January 1st. The stock was sold at an average price of $24.09, for a total transaction of $1,069,258.74. Following the transaction, the executive directly owned 72,917 shares of the company’s stock, valued at approximately $1,756,570.53. This represents a 37.84% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 447,164 shares of company stock valued at $10,590,768 over the last 90 days. 3.31% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in CWAN. Cim LLC boosted its holdings in Clearwater Analytics by 0.8% in the third quarter. Cim LLC now owns 66,184 shares of the company’s stock worth $1,193,000 after acquiring an additional 557 shares in the last quarter. Hilltop National Bank raised its position in shares of Clearwater Analytics by 12.6% in the 3rd quarter. Hilltop National Bank now owns 5,533 shares of the company’s stock valued at $100,000 after purchasing an additional 619 shares during the last quarter. Essex Investment Management Co. LLC raised its position in shares of Clearwater Analytics by 54.9% in the 3rd quarter. Essex Investment Management Co. LLC now owns 1,806 shares of the company’s stock valued at $33,000 after purchasing an additional 640 shares during the last quarter. Bessemer Group Inc. boosted its stake in Clearwater Analytics by 84.6% in the 2nd quarter. Bessemer Group Inc. now owns 1,545 shares of the company’s stock worth $35,000 after purchasing an additional 708 shares in the last quarter. Finally, Versant Capital Management Inc grew its position in Clearwater Analytics by 189.3% during the 3rd quarter. Versant Capital Management Inc now owns 1,565 shares of the company’s stock worth $28,000 after purchasing an additional 1,024 shares during the last quarter. 50.10% of the stock is owned by institutional investors and hedge funds.

About Clearwater Analytics

Clearwater Analytics LLC is a global provider of web-based investment portfolio accounting, reporting, and analytics solutions. The company’s software-as-a-service platform automates complex processes involved in investment data aggregation, reconciliation, valuation, and regulatory reporting. Serving institutional investors—including insurers, asset managers, corporations, government entities, and asset owners—Clearwater Analytics enables clients to optimize performance visibility, risk management, and operational efficiency.

Founded in 2004 and headquartered in Boise, Idaho, Clearwater Analytics has grown its global footprint with offices across North America, Europe, and the Asia-Pacific region.